Earning just 5 more basis points for deposits between $5K and $25K is probably not going to motivate many people to switch from CIT Bank’s no-penalty CD as the maximum impact there is just $12.50 in additional interest per year on a $24,999.99 deposit, but an extra 15bp on more than $25K in deposits could certainly be compelling. Although, with a likely Fed rate hike just around the corner, it may also make sense to wait a few extra weeks and see how competitive deposit account rates shake out after the September 25-26 FOMC meeting.

Note that there’s really no point in utilizing the lowest tier of Ally’s no-penalty CD, which earns just 1.50%, because Ally’s own savings account earns 1.80% (increased from 1.75% at the same time they most recently raised rates on their no-penalty CD).